The company purchased a 12.18% interest in PRC held by Northern Energy & Mining for US$76 million in cash and the 12.99% interest held by Hillsborough Resources for $81 million plus $9 million to acquire Hillsborough’s royalty rights relating to PRC.
“Peace River Coal is a large and high quality coking coal resource, supported by well-developed power, rail and port infrastructure,” said Seamus French, CEO, Anglo American’s Metallurgical Coal business. “We see significant resource upside and plan to invest in further exploration studies to ascertain its full long term potential. In the near term, we will be progressing to a feasibility study to increase production from 1 million mtpy to 3.5 million mtpy by 2015.”
